8 Surprising Places To Find Used Cars for Less Than $20K
Written by
Laura Beck
Edited by
Gary Dudak
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Finding a reliable but affordable used vehicle can feel next to impossible these days. Where solid options for budget-focused shoppers could once be found for under $20,000, the “cheap car” market has shrunk significantly.
For buyers needing a low-cost ride, it can seem beyond reach. But with some savvy searching and an open mind, those hidden gems are still out there. You just have to know where to look beyond the usual spots.
Community Bulletin Boards
Local community centers often have bulletin boards with folks selling their cars directly. These boards connect you with your neighbors who may not be tech-savvy or simply prefer direct buyer-seller dealings. Also check libraries, rec centers and churches.
“Don’t sleep on community boards and local events,” said Todd Bialaszewski, founder of Sell My Car Online. “You’ve got folks there who just want to sell their car hassle-free. They might not know how to list online, or maybe they just prefer the old-school bulletin board. Either way, you can sometimes find a well-kept car at a fair price.”
While these rides may need some TLC, you can discover well-maintained models at fair prices. The sellers are usually upfront people who take good care of their vehicles.
Rental Car Sales
Surprisingly, rental car companies sell off their vehicles while still relatively new. Well-maintained models get sold off at significant discounts versus comparable retail used cars. Search rental car sales nearby and be ready to move fast for the best selection.
“Rental car sales deserve a second glance,” said Robert Walden of Vehicle Freak.
Because rental agencies service their fleets regularly, these cars may offer undiscovered value if you don’t mind the extra miles. Thoroughly inspect maintenance records for peace of mind.
Charity Auctions
Charity auctions and events often feature donated cars in good condition. The cause-based pricing lends itself to fair bargains. It’s a win-win because you can benefit a good cause while scoring reliable transportation below market value.
“Cars here usually come from people who’ve taken good care of them,” said Bialaszewski. “You can get a sweet ride and feel good about where your money’s going.”
Overall, you can score an affordable, mechanically sound car if you carefully vet options and bid wisely.
Buyout a Lease
When a leased car gets returned, the leasing company wants to sell it quickly. Negotiating a lease buyout with the owner before return can mean thousands in savings versus buying off the lot. Slow-selling models are ideal targets.
“Lease buyouts can be a goldmine,” said Walden. “And sometimes, less-popular models offer undiscovered value.”
Buying out someone’s lease means the prior owner ate most of the depreciation, and you can score a lower-mileage car with a remaining factory warranty. Shop off-lease inventory for savings, especially on models with slower sales.
Forums and Social Media
Online niche communities often have classifieds for members seeking specific cars. Prices get kept low since vehicles stay within the brand community. And fellow gearheads ensure rides are well-cared for.
Walden said, “Tap into niche communities like classic car enthusiasts or specialized social media groups–these circles often have the scoop on deals you won’t find elsewhere.”
Join relevant Facebook groups, subreddits and forums to get the inside line on used car deals in your area before they hit mainstream sites. But vet sellers thoroughly before meeting up.
Family and Friends
“Don’t forget about word-of-mouth,” said Bialaszewski. “Ask around — friends, family, coworkers. People love to share their car-buying wins. Networking like this can lead you to deals you wouldn’t find otherwise.”
Your community likely has insider knowledge. A neighbor upgrading their leased car, a cousin with a spare vehicle a coworker’s friend moving abroad are all opportunities for referrals and bargain finds. Discuss your used car search; you never know what leads will turn up.
Mechanic Shops
Independent shops sometimes flip trade-ins after reconditioning. Additionally, their labor rates are lower than dealers, so any repairs still keep overall costs down.
“Take this one time at my shop,” shared Bialaszewski. “A lady rolls in with a 2005 Honda Civic, thinking it’s pretty much done for. But here’s the thing — with a good look over and a few tweaks, that car was back in action, like new. We sold it for less than $20K.”
Mechanics have more flexibility to keep prices low. And their onsite expertise allows them to resurrect cars considered clunkers. This opens up budget options you won’t find elsewhere.
Dealerships
“Now is the perfect time to consider dealerships,” said Casey Boardman of Bentley Auto Group. “New models are being released, and dealerships need to move out older models for new inventory. You are more likely to get additional deals and better offers.”
“Reputable dealerships often inspect and recondition their used vehicles,” said Boardman. “Many even offer certified pre-owned programs, which involve rigorous inspections and warranties, providing added peace of mind to buyers.”
Boardman explained that dealerships typically offer financing terms, making it easier for buyers to afford a car and often accept trade-ins. “This can make it even more affordable to upgrade to a more reliable used car,” he said.
Dealership pricing may be higher, but the transparency, warranties and financing options make them worth considering. Their expertise and support after purchase can provide peace of mind when buying used.
Final Note: Don’t Skip the Mechanic Inspection
Once you’ve found a quality used car at an unbelievable price, there could be lurking issues that come to light later. Don’t let eagerness or a tight budget stop you from having a mechanic vet a potential used car first. Paying a mechanic for a pre-purchase inspection is well worth it to avoid potentially buying a lemon.
“Always, always get a car checked out by a trusted mechanic before you buy,” said Bialaszewski. “You want to make sure you’re not buying a problem. A good mechanic can spot trouble and save you a ton of headaches down the road.”
While a pre-purchase inspection does add a small upfront cost, it ultimately protects you from getting stuck with a problematic car. This ensures you made the right purchase decision and will get years of reliable service from your used car.
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